mba eb project research on onoine buyer behaviour

8/8/2019 Mba Eb PROJECT Research on Onoine Buyer Behaviour

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Consumer Behavior for Online Shopping

1.INTRODUCTION TO E-MARKETING

The rapid growth of Information Technology (IT) has affected most parts of human society

and its dominance over the other technology is clearly visible. One of the major application

areas where information technology has greatly changed the traditions of the society is the

way in which the business is being conducted. Business are weaving IT more deeply into

the very tapestry of their operations and today, more and more business activities are

shifting to the electronic media. E-marketing has produced a revolutionary new way for

businesses to communicate and interact with the customers. It has power to expand the

businesses beyond the global boundaries by giving them competitive edge in the global

marketplace. India is one of the countries where this trend seems to be catching on. The

present paper provides a comprehensive overview of emergence, growth of e-marketing

strategies, e-marketing models, benefits of e-marketing etc.

These are some facts which show the popularity of e-business in the world today. In the

business world, the digital environment is enhancing process and activities across the entire

organization. Disciplines work together in cross functional teams using computer networks

to share and apply knowledge for increasing efficiency and profitability. Financial expertscommunicate shareholders online; invent new ways to value risk and capital.

Marketing has pretty much been around forever in one form or another. Since the day when

humans first started trading whatever it was that they first traded, marketing was there.

Marketing was the stories they used to convince other humans to trade. The methods of

marketing have changed and improved, and we’ve become a lot

more efficient at telling our stories and getting our marketing messages out there.

E-Marketing is the product of the meeting between modern communication technologies

and the age-old marketing principles that humans have always applied. It provides new

market place , more opportunities to sell and market the product, and greater competitive

advantages. It creates values by vastly lowering the cost of transferring many types of

information, one-to-one, one-to-many, or many-to-many basis. The effects of e-marketing

are already appearing in all areas of business, from customer service to new product design.

1.1 What is E-Marketing?

Submitted by Akhilesh P Singh Department of Business Administration, Lucknow University

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The Internet has brought many unique benefits to marketing, one of which being lower

costs for the distribution of information and media to a global audience. The interactive

nature of Internet marketing, both in terms of providing instant response and eliciting

responses, is a unique quality of the medium. Internet marketing is sometimes considered to

have a broader scope because it refers to digital media such as the Internet, e-mail, and

wireless media

.

E-marketing ties together creative and technical aspects of the Internet, including design,

development, advertising, and sales. E-marketing is the application of a broad range of

information technologies for:

(i) Transforming marketing strategies to create more customer value through more

effective segmentation, targeting, differentiation, and positioning strategies.

(ii) More efficiently planning and executing the conception, distribution, promotion, and

pricing of goods, services and ideas.

(iii) Creating exchanges that satisfy individual consumer and organizational customers’

objectives.

This definition sounds a lot like that of traditional marketing. Another way to view it is that

e-marketing is the result of information technology applied traditional marketing.

1.2 What is E-Business?

E-business is important, powerful, and unstoppable. It is the term coined by I.B.M which

means the continuous optimization of firm’s business activities through Digital technology

like computer and internet. E-business involves attracting and retaining the right customers

and business partners. It permeates business processes, such as product buying and selling.

It includes digital communication, e-commerce, and online research. E-COMMERCE is the

subset of e-business focused on transactions.


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1.3 E-Marketing in Context Past and Present

1.3.1 Past

The first generation of e-business was like a Gold Rush. New start-ups and well established

businesses alike created a web presence and experimented a lot. Many companies quickly

attracted huge sales and market share, but only a handful brought anything to the bottom

line. In early 2000 one estimate listed 21 forms with 12 month sales growth between 100%

and 500%-but all had negative profits. In that year over 500 internet firms have shut down

in the united states alone. Having gone through the boom and bust in developed nations we

are now firmly entrenched trough of disillusionment. This was the time when marketers

returned to their traditional roots and rely on well-grounded strategy and sound marketing

practices. During DOT-COM shake out from 2000-2002, there was much industry

consolidation. Some firms such as, levi strauss, stopped selling online both because it was

not efficient and it created channel conflict.

1.3.2 Present

Power shift from sellers to buyers

Marketing fragmentation: mass market to one customer.

Death of distance.

Time compression: Online stores can be open 24/7.

Knowledge/database management is key.

Marketing and technology: an interdisciplinary focus.

Intellectual capital rules, Imagination, creativity, and entrepreneurship are more important

resources than financial capital

1.4 E-Business Strategy

• The deployment of enterprise resources to capitalize on technologies for reaching

specified objectives that ultimately improve performance and create sustainable competitive

advantage.

• Corporate-level business strategies including information technology components

(Internet, digital data, databases, and so forth) become e-business strategies.

E-BUSINESS STRATEGY=CORPORATE STRATEGY + INFORMATION


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TECHNOLOGY.

1.5 E-Marketing Strategy

Strategic e-marketing is the design of marketing strategy that capitalizes on the

organization’s electronic or Information technology capabilities to reach specified

objectives. In essence, strategic e-marketing is where technology strategy and marketing

strategy wed to form the organization’s e-marketing strategy.

E-MARKETING STRATEGY=MARKETING STRATEGY + INFORMATION

TECHNOLOGY

Most strategic plans explain the rationale for the chosen objectives and strategies. There are

four appropriate types of rationale:

1. Strategic justification shows how the strategy fits with the firm’s overall mission and

business objectives,

2. Operational justification identifies and quantifies the specific process improvements that

will result from the strategy,

3. Technical justification shows how the technology will fit and provide synergy with

current information technology capabilities,

4. Financial justification examines cost/benefit analysis and uses standard measures (ROI,

NPV).

1.6 Six Step E-Marketing Plan

1. Situation analysis

2. E-Marketing strategic planning

3. Plan objectives4. E-Marketing strategy

5. Implementation plan

6. Budget

7. Evaluation plan

1.6.1 Step 1 : Situational Analysis


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The organizational e-business plan contains a SWOT analysis of the firm adopting e-

business strategy of e-commerce. E-marketers take over from here, collecting information

on how to sell on web, perhaps focusing on e-mail. The current marketing plan will be

loaded with information of vital importance about the firm’s products, the markets currently

served and so forth. The firm’s pricing philosophy may dictate online pricing strategies for

electronic commerce. The distribution plan will identify areas where the products are

currently sold and suggest geographic gaps that might be receptive to e-commerce. Using

this and newly collected information, the marketer moves to strategy formulation.

1.6.2 Step 2 : E-Marketing Strategy

After reviewing the marketing and e-business plans, marketers conduct strategic planning to

help achieve firm’s e-business goals. An important part of the process is to define potential

revenue streams. After reviewing the e-business goals, marketers create supporting e-

marketing strategies.

Tier 1 : E-Marketing Strategy Planning

Marketers create market opportunity analysis (MOA), including both demand and supply

analysis, for segmenting and targeting. The demand analysis portion includes market

segmentation analysis to describe and evaluate the potential profitability, sustainability,accessibility, and size of various potential segments. Segment in the B2C market uses

descriptors such as demographic characteristics, geographic locations, selected

psychographic characteristics and past behavior towards the product. B2B descriptors

include firm location, size, industry, type of need and more. These descriptors help firms

identify potentially attractive markets. Firms must also understand the segment trends – are

they growing or declining in absolute size and product use?

The purpose of supply analysis is to assist in forecasting segment profitability as well as to

find competitive advantages to exploit in the online market. Only by carefully analyzing

competitive strengths and weaknesses can a firm find its own performance advantages.

Therefore the firm should review the competition, their e-marketing initiatives, strengths

and weaknesses prior to developing their e-marketing initiatives.

Another tier 1 step toward defining e-marketing strategy includes identifying brand

differentiation and positioning strategies. Based on an understanding of both competition


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and targets, marketers must decide how to differentiate their products from competitors’

products in a way that provides benefits perceived as important by the target.


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Tier 2 : E-Marketing Strategic Planning

In conjunction with tier 1 strategies, marketers design tier2 strategies. This is an iterative

process because it is difficult to know what the brand position should be without

understanding the offer that comprises the brand promise.

1.6.3 Step 3 : Formulate Objectives

While e-commerce transactions are an exciting dimension of e-business presence, other

objectives are also worthwhile, especially when the firm is using technology only to create

internal efficiencies such as target market communication. In fact most e-marketing aim to

accomplish multiple objectives such as :

1. Increase market share

2. Increase sales revenue

3. Reduce costs such as distribution or promotion cost

4. Achieve branding goals such as increasing brand awareness

5. Improve databases

6. Achieve customer relationship management goals such as increasing customer

satisfaction, frequency of purchases, customer retention rates

7. Improve supply chain management such as by enhancing member coordination, adding partners, optimizing inventory levels And so on……

1.6.4 Step 4 : E-Marketing Strategy

In this step marketers decide how to accomplish objectives through creative and effective

tactics. This is where marketers select marketing mix (4P’s), relationship management

tactics, and other tactics to achieve the plan objectives and then devises detailed plans for

implementation.

E-marketers pay special attention to information gathering tactics because information

technologies are especially adapted at automating these processes. Website forms, feedback

e-mail, online surveys are just some of the tactics firms use to collect information about

customers, prospects and other shareholders.


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1.6.5 Step 5 : Budgeting

A key part of any strategic plan is to identify expected from an investment. These can be

matched with the cost/benefit analysis, ROI calculation, internal rate of return, whichmanagement uses to determine whether the effort is worthwhile. The following are some of

the revenues and costs associated with e-marketing initiatives:

Revenue forecast

Intangible benefits

Cost savings

E-marketing costs

Technology costs

Site design

Salaries

Other site development expenses

Marketing communication

1.6.6 Step 6 : Evaluation Plan

Once the e-marketing plan is implemented, its success depends on continuous evaluation.

This means e-marketers must have tracking systems in place before the electronic door

opens.

In general, today’s firms are quite ROI driven. As a result, e-marketers must show how their

intangible goals such as brand building or CRM, will lead to higher revenue down the road.

1.7 E-MARKETING PRODUCTS

Banner Advertisements

Press Releases

e-newsletter

Computers and computer peripherals

Landing Pages


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Personalized URL (PURLS)

Blogs

Newsgroup

Surveys / Polls

Forums / Message Boards

Affiliate Programs

Viral Campaigns

Forums

Help / FAQ

Chat

Live Help / Click to Talk

Alerts

Smart Pages

Art / Photos / Design

Demos

On-line Presentations / CDs

Catalogs

Contests / Coupons

On-line Seminars

White Papers / Case Studies


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1.8 Benefits of E-Marketing

1.8.1 CVP

Internet marketing is relatively inexpensive when compared to the ratio of cost against the

reach of the target audience. Companies can reach a wide audience for a small fraction of

traditional advertising budgets. The nature of the medium allows consumers to research and

purchase products and services at their own convenience. Therefore, businesses have the

advantage of appealing to consumers in a medium that can bring results quickly. The

strategy and overall effectiveness of marketing campaigns depend on business goals and

cost-volume-profit (CVP) analysis.

1.8.2 Growth

Internet marketing as of 2007 is growing faster than other types of media.[citation needed]

Because exposure, response, and overall efficiency of Internet media are easier to track than

traditional off-line media—through the use of web analytics for instance—Internet

marketing can offer a greater sense of accountability for advertisers. Marketers and their

clients are becoming aware of the need to measure the collaborative effects of marketing

(i.e., how the Internet affects in-store sales) rather than siloing each advertising medium.

The effects of multichannel marketing can be difficult to determine, but are an important

part of ascertaining the value of media campaigns.

1.8.3 Reach

The nature of the internet means businesses now have a truly global reach. While traditional

media costs limit this kind of reach to huge multinationals, e-Marketing opens up new

avenues for smaller businesses, on a much smaller budget, to access potential consumers

from all over the world.

1.8.4 Scope

Internet marketing allows the marketer to reach consumers in a wide range of ways and

enables them to offer a wide range of products and services. eMarketing

includes, among other things, information management, public relations, customer service

and sales. With the range of new technologies becoming available all the time, this scope

can only grow.


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1.8.5 Interactivity

Traditional marketing is largely about getting a brand’s message out their, e-Marketing

facilitates conversations between companies and consumers. With a two way

communication channel, companies can feed off of the responses of their consumers,

making them more dynamic and adaptive.

1.8.6 Immediacy

Internet marketing is able to, in ways never before imagined, provide an immediate impact.

Imagine you’re reading your favorite magazine. You see a double-page advert for some new

product or service, maybe BMW’s latest luxury sedan or Apple’s latest I-Pod offering. With

this kind of traditional media, it’s not that easy for you, the consumer, to take the step from

hearing about a product to actual acquisition.

With e-Marketing, it’s easy to make that step as simple as possible, meaning that within a

few short clicks you could have booked a test drive or ordered the I-Pod. And all of this can

happen regardless of normal office hours. Effectively, Internet marketing makes business

hours 24 hours per day, 7 days per week for every week of the year.

By closing the gap between providing information and eliciting a consumer reaction, the

consumer’s buying cycle is speeded up and advertising spend can go much further in

creating immediate leads.

1.8.7 Demographics and Targeting

Generally speaking, the demographics of the Internet are a marketer’s dream. Internet users,

considered as a group, have greater buying power and could perhaps be considered as a

population group skewed towards the middle-classes.

Buying power is not all though. The nature of the Internet is such that its users will tend to

organize themselves into far more focused groupings. Savvy marketers who know where to

look can quite easily find access to the niche markets they wish to target.


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2.INTRODUCTION TO ONLINE SHOPPING

Consumers go through to purchase products or services over the Internet. An online shop,

E-shop, E-store, Internet shop, web-shop, web-store, online store, or virtual store evokes the

physical analogy of buying products or services at a bricks-and-mortar retailer or in a

shopping mall.

The metaphor of an online catalog is also used, by analogy with mail order catalogs. All

types of stores have retail web sites, including those that do and do not also have physical

storefronts and paper catalogs. Online shopping is a type of electronic commerce used for

business-to-business (B2B) and business-to-consumer (B2C) transactions.

2.1 Web -shop

The term "web-shop" also refers to a place of business where web development, web

hosting and other types of web related activities take place (Web refers to the World Wide

Web and "shop" has a colloquial meaning used to describe the place). Buying online

introduced new ways of reducing costs by reducing the number of staff needed. It is a more

effective way of getting products to people and spreading into different demographic the

world's first recorded B2C was Gates head SIS /Tesco in May 1984.

In 1990 Tim Berners-Lee created the first World Wide Web server and browser. In 1994

other advances took place, such as online banking and the opening of an online pizza shop

by Pizza Hut. During that same year, Netscape introduced SSL encryption of data

transferred online, which has become essential for secure online shopping. In 1995 Amazon

expanded its online shopping, and in 1996 eBay appeared. More recently Overstock has

also become one of the world largest and reliable online shopping stores.

2.2 Customers

In general, shopping has always catered to middle class and upper class women. Shopping

is fragmented and pyramid-shaped. At the pinnacle are elegant boutiques for the affluent; a

huge belt of inelegant but ruthlessly efficient “discounters” flog plenty at the pyramid’s

precarious middle. According to the analysis of Susan D. Davis, at its base are the world’s


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http://en.wikipedia.org/wiki/Internet

http://en.wikipedia.org/wiki/Webstore

http://en.wikipedia.org/wiki/Product_(business)

http://en.wikipedia.org/wiki/Service_(economics)

http://en.wikipedia.org/wiki/Brick_and_mortar_business

http://en.wikipedia.org/wiki/Retailing


http://en.wikipedia.org/wiki/Shopping_mall

http://en.wikipedia.org/wiki/Online_catalog

http://en.wikipedia.org/wiki/Mail_order


http://en.wikipedia.org/wiki/Electronic_commerce

http://en.wikipedia.org/wiki/Business-to-business

http://en.wikipedia.org/wiki/Business-to-consumer

http://en.wikipedia.org/wiki/Tesco

http://en.wikipedia.org/wiki/Tim_Berners-Lee

http://en.wikipedia.org/wiki/Pizza_Hut


http://en.wikipedia.org/wiki/Netscape

http://en.wikipedia.org/wiki/EBay


http://en.wikipedia.org/wiki/Shopping

http://en.wikipedia.org/wiki/Webstore

http://en.wikipedia.org/wiki/Product_(business)

http://en.wikipedia.org/wiki/Service_(economics)

http://en.wikipedia.org/wiki/Brick_and_mortar_business


http://en.wikipedia.org/wiki/Shopping_mall

http://en.wikipedia.org/wiki/Online_catalog


http://en.wikipedia.org/wiki/Electronic_commerce

http://en.wikipedia.org/wiki/Business-to-business

http://en.wikipedia.org/wiki/Business-to-consumer

http://en.wikipedia.org/wiki/Tesco

http://en.wikipedia.org/wiki/Tim_Berners-Lee


http://en.wikipedia.org/wiki/Netscape



http://en.wikipedia.org/wiki/Internet




workers and poor, on whose cheapened labor the rest of the pyramid depends for its

incredible abundance. Shopping has evolved from single stores to large malls containing

many stores that most often offer attentive service, store credit, delivery, and acceptance of

returns. These new additions to shopping have encouraged and targeted middle class

women.

In recent years, online shopping has become popular; however, it still caters to the middle

and upper class. In order to shop online, one must be able to have access to a computer, a

bank account and a debit card. Shopping has evolved with the growth of technology.

According to research found in the Journal of Electronic Commerce, if we focus on the

demographic characteristics of the in-home shopper, in general, the higher the level of

education, income, and occupation of the head of the household, the more favorable the

perception of non-store shopping. An influential factor in consumer attitude towards non-store shopping is exposure to technology, since it has been demonstrated that increased

exposure to technology increases the probability of developing favorable attitudes towards

new shopping channels.

Online shopping widened the target audience to men and women of the middle class. At

first, the main users of online shopping were young men with a high level of income and a

university education. This profile is changing. For example, in USA in the early years of

Internet there were very few women users, but by 2001 women were 52.8% of the online

population. Socio-cultural pressure has made men generally more independent in their

purchase decisions, while women place greater value on personal contact and social

relations.

2.3 Trends

One third of people that shop online use a search engine to find what they are looking for

and about one fourth find websites by word of mouth. Word of mouth has become a leading

way by which people find shopping websites. When an online shopper has a good first

experience with a certain website, sixty percent of the time they will return to that website

to buy more.

Books are one of the things bought most online. However, clothes, shoes, and accessories

are all very popular things bought online. Cosmetics, nutrition products, and groceries are

increasingly being purchased online. About one fourth of travelers buy their plane tickets


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http://en.wikipedia.org/wiki/Malls

http://en.wikipedia.org/wiki/Debit_card


http://en.wikipedia.org/wiki/Search_engine


http://en.wikipedia.org/wiki/Books

http://en.wikipedia.org/wiki/Malls



http://en.wikipedia.org/wiki/Books




online because it is a quick and easy way to compare airline travel and make a purchase.

Online shopping provides more freedom and control than shopping in a store.

From a sociological perspective, online shopping is arguably the most predictable way to

shop. One knows exactly what website to go to, how much the product will cost, and how

long it will take for the product to reach them. Online shopping has become extremely

routine and predictable, which is one of its great appeals to the consumer.

2.4 Logistics

Consumers find a product of interest by visiting the website of the retailer directly, or do a

search across many different vendors using a shopping search engine.

Once a particular product has been found on the web site of the seller, most online retailers

use shopping cart software to allow the consumer to accumulate multiple items and to adjust

quantities, by analogy with filling a physical shopping cart or basket in a conventional store.

A "checkout" process follows (continuing the physical-store analogy) in which payment and

delivery information is collected, if necessary. Some stores allow consumers to sign up for a

permanent online account so that some or all of this information only needs to be entered

once. The consumer often receives an e-mail confirmation once the transaction is complete.

Less sophisticated stores may rely on consumers to phone or e-mail their orders (thoughcredit card numbers are not accepted by e-mail, for security reasons).

2.5 Payment

Online shoppers commonly use credit card to make payments, however some systems

enable users to create accounts and pay by alternative means, such as:

Debit cardVarious types of electronic money

Cash on delivery (C.O.D., offered by very few online stores)

Cheque

Wire transfer /delivery on payment

Postal money order

Reverse SMS billing to mobile phones

Gift cards

Direct debit in some countries


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http://en.wikipedia.org/wiki/Shopping_search_engine


http://en.wikipedia.org/wiki/Shopping_cart_software

http://en.wikipedia.org/wiki/Credit_card


http://en.wikipedia.org/wiki/Electronic_money

http://en.wikipedia.org/wiki/Cash_on_delivery

http://en.wikipedia.org/wiki/Cheque

http://en.wikipedia.org/wiki/Wire_transfer

http://en.wikipedia.org/wiki/Money_order

http://en.wikipedia.org/wiki/Reverse_SMS_billing

http://en.wikipedia.org/wiki/Gift_card


http://en.wikipedia.org/wiki/Shopping_cart_software

http://en.wikipedia.org/wiki/Credit_card


http://en.wikipedia.org/wiki/Electronic_money

http://en.wikipedia.org/wiki/Cash_on_delivery

http://en.wikipedia.org/wiki/Cheque

http://en.wikipedia.org/wiki/Wire_transfer

http://en.wikipedia.org/wiki/Money_order

http://en.wikipedia.org/wiki/Reverse_SMS_billing

http://en.wikipedia.org/wiki/Gift_card




Some sites will not allow international credit cards and billing address and shipping address

have to be in the same country in which site does its business. Other sites allow customers

from anywhere to send gifts anywhere. The financial part of a transaction might be

processed in real time (for example, letting the consumer know their credit card was

declined before they log off), or might be done later as part of the fulfillment process.

While credit cards are currently the most popular means of paying for online goods and

services, alternative online payments will account for 26% of e-commerce volume by 2009

according to Celent.

2.6 Product delivery

Once a payment has been accepted the goods or services can be delivered in the following

ways.

Download: This is the method often used for digital media products such as software,

music, movies, or images.

Shipping: The product is shipped to the customer's address.

Drop shipping: The order is passed to the manufacturer or third-party distributor, who

ships the item directly to the consumer, bypassing the retailer's physical location to save

time, money, and space.In-store pickup: The customer orders online, finds a local store using locator software and

picks the product up at the closest store. This is the method often used in the bricks and

clicks business model.

In the case of buying an admission ticket one may get a code, or a ticket that can be

printed out. At the premises it is made sure that the same right of admission is not used

twice.

2.7 Shopping cart systems

Simple systems allow the offline administration of products and categories. The shop is

then generated as HTML files and graphics that can be uploaded to a web-space. These

systems do not use an online database.

A high end solution can be bought or rented as a standalone program or as an addition to

an enterprise resource planning program. It is usually installed on the company's own


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http://en.wikipedia.org/w/index.php?title=Celent&action=edit&redlink=1


http://en.wikipedia.org/wiki/Download

http://en.wikipedia.org/wiki/Shipping

http://en.wikipedia.org/wiki/Drop_shipping


http://en.wikipedia.org/wiki/Locator_software

http://en.wikipedia.org/wiki/Bricks_and_clicks


http://en.wikipedia.org/wiki/Ticket_(admission)


http://en.wikipedia.org/wiki/Enterprise_resource_planning


http://en.wikipedia.org/wiki/Download

http://en.wikipedia.org/wiki/Shipping



http://en.wikipedia.org/wiki/Locator_software




http://en.wikipedia.org/wiki/Enterprise_resource_planning




webserver and may integrate into the existing supply chain so that ordering, payment,

delivery, accounting and warehousing can be automated to a large extent.

Other solutions allow the user to register and create an online shop on a portal that hosts

multiple shops at the same time.

Open source shopping cart packages include advanced platforms such as Interchange, and

off the shelf solutions as Avactis, Satchmo, osCommerce, Magento, Zen Cart, VirtueMart,

Batavi and PrestaShop.

Commercial systems can also be tailored to ones needs so that the shop does not have to

be created from scratch. By using a framework already existing, software modules for

different functionalities required by a web shop can be adapted and combined.

2.8 Design

Why does electronic shopping exist? For customers it is not only because of the high level

of convenience, but also because of the broader selection; competitive pricing and greater

access to information. For organizations it increases their customer value and the building

of sustainable capabilities, next to the increased profits

2.9 Information load

Designers of online shops should consider the effects of information load. Mehrabian and

Russel (1974) introduced the concept of information rate (load) as the complex spatial and

temporal arrangements of stimuli within a setting. The notion of information load is directly

related to concerns about whether consumers can be given too much information in virtual

shopping environments. Compared with conventional retail shopping, computer shopping

enriches the information environment of virtual shopping by providing additional product

information, such as comparative products and services, as well as various alternatives and

attributes of each alternative, etc.

Two major sub-dimensions have been identified for information load: complexity and

novelty. Complexity refers to the number of different elements or features of a site, which

can be the result of increased information diversity. Novelty involves the unexpected,

suppressing, new, or unfamiliar aspects of the site. A research by Huang (2000) showed that

the novelty dimension kept consumers exploring the shopping sites, whereas the complexity

dimension has the potential to induce impulse purchases


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http://en.wikipedia.org/wiki/Supply_chain


http://en.wikipedia.org/wiki/Web_portal

http://en.wikipedia.org/wiki/Open_source

http://en.wikipedia.org/wiki/Interchange_(software)

http://en.wikipedia.org/wiki/Avactis



http://en.wikipedia.org/wiki/Satchmo_(online_store)

http://en.wikipedia.org/wiki/OsCommerce


http://en.wikipedia.org/wiki/Magento

http://en.wikipedia.org/wiki/Zen_Cart

http://en.wikipedia.org/wiki/VirtueMart

http://en.wikipedia.org/wiki/Batavi

http://en.wikipedia.org/wiki/PrestaShop



http://en.wikipedia.org/wiki/Web_portal

http://en.wikipedia.org/wiki/Open_source

http://en.wikipedia.org/wiki/Interchange_(software)


http://en.wikipedia.org/wiki/Satchmo_(online_store)


http://en.wikipedia.org/wiki/Magento

http://en.wikipedia.org/wiki/Zen_Cart

http://en.wikipedia.org/wiki/VirtueMart

http://en.wikipedia.org/wiki/Batavi





2.10 Consumer expectations

The main idea of online shopping is not in having a good looking website that could be

listed in a lot of search engines and it is not about the art behind the site. It also is not only

just about disseminating information, because it is all about building relationships and

making money. Mostly, organizations try to adopt techniques of online shopping without

understanding these techniques and/or without a sound business model. Rather than

supporting the organization’s culture and brand name, the website should satisfy consumer's

expectations. Many researchers notify that the uniqueness of the web has dissolved and the

need for the design, which will be user centered, is very important. Companies should

always remember that there are certain things, such as understanding the customer’s wants

and needs, living up to promises, never go out of style, because they give reason to come

back. And the reason will stay if consumers always get what they expect. McDonaldization

theory can be used in terms of online shopping, because online shopping is becoming more

and more popular and website that wants to gain more shoppers will use four major

principles of McDonaldization: efficiency, calculability, predictability and control.

Organizations, which want people to shop more online for them, should consume extensive

amounts of time and money to define, design, develop, test, implement, and maintain

website. Also if company wants their website to be popular among online shoppers it should

leave the user with a positive impression about the organization, so consumers can get an

impression that the company cares about them. The organization that wants to be acceptable

in online shopping needs to remember, that it is easier to lose a customer then to gain one.

Lots of researchers state that even when site was a “top-rated”, it would go nowhere if the

organization failed to live up to common etiquette, such as returning e-mails in a timely

fashion, notifying customers of problems, being honest, and being good stewards of the

customers’ data. Organizations that want to keep their customers or gain new ones try to get

rid of all mistakes and be more appealing to be more desirable for online shoppers. And this

is why many designers of webshops considered research outcomes concerning consumer

expectations. Research conducted by Elliot and Fowell (2000) revealed satisfactory and

unsatisfactory customer experiences.

2.11 User interface

It is important to take the country and customers into account. For example, in Japan

privacy is very important and emotional involvement is more important on a pension’s site


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http://en.wikipedia.org/wiki/Website

http://en.wikipedia.org/wiki/Organizations

http://en.wikipedia.org/wiki/McDonaldization


http://en.wikipedia.org/wiki/Website

http://en.wikipedia.org/wiki/Organizations

http://en.wikipedia.org/wiki/McDonaldization




than on a shopping site. Next to that, there is a difference in experience: experienced users

focus more on the variables that directly influence the task, while novice users are focusing

more on understanding the information.

There are several techniques for the inspection of the usability. The ones used in the

research of Chen & Macredie (2005) are Heuristic evaluation, cognitive walk through and

the user testing. Every technique has its own (dis-)advantages and it is therefore important

to check per situation which technique is appropriate.

When the customers went to the online shop, a couple of factors determine whether they

will return to the site. The most important factors are the ease of use and the presence of

user-friendly features.

2.12 Market share

E-commerce product sales totaled $146.4 billion in the United States in 2006, representing

about 6% of retail product sales in the country. The $18.3 billion worth of clothes sold

online represented about 10% of the domestic market.

For developing countries and low-income households in developed countries, adoption of e-

commerce in place of or in addition to conventional methods is limited by a lack of

affordable Internet access.

2.13 Advantages

2.13.1 Convenience

Online stores are usually available 24 hours a day, and many consumers have Internet

access both at work and at home. A visit to a conventional retail store requires travel and

must take place during business hours.

Searching or browsing an online catalog can be faster than browsing the aisles of a physical

store. Consumers with dial-up Internet connections rather than broadband have much longer

load times for content-rich web sites and have a considerably slower online shopping

experience.


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http://en.wikipedia.org/wiki/Usability

http://en.wikipedia.org/wiki/Dial-up

http://en.wikipedia.org/wiki/Broadband

http://en.wikipedia.org/wiki/Usability

http://en.wikipedia.org/wiki/Dial-up

http://en.wikipedia.org/wiki/Broadband




Some consumers prefer interacting with people rather than computers sometimes because

they find computers hard to use. Not all online retailers have succeeded in making their sites

easy to use or reliable.

In most cases, merchandise must be shipped to the consumer, introducing a significant

delay and potentially uncertainty about whether or not the item was actually in stock at the

time of purchase. Bricks and clicks stores offer the ability to buy online but pick up in a

nearby store. Many stores give the consumer the delivery company's tracking number for

their package when shipped, so they can check its status online and know exactly when it

will arrive. For efficiency reasons, online stores generally do not ship products immediately

upon receiving an order. Orders are only filled during warehouse operating hours, and there

may be a delay of anywhere from a few minutes to a few days to a few weeks before in-

stock items are actually packaged and shipped. Many retailers inform customers how longthey can expect to wait before receiving a package, and whether or not they generally have

a fulfillment backlog. A quick response time is sometimes an important factor in consumers'

choice of merchant. A weakness of online shopping is that, even if a purchase can be made

24 hours a day, the customer must often be at home during normal business hours to accept

the delivery. For many professionals this can be difficult, and absence at the time of

delivery can result in delays, or in some cases, return of the item to the retailer. Automated

delivery booths, such as DHL's Packstation, have tried to address this problem.

In the event of a problem with the item - it is not what the consumer ordered, or it is not

what they expected - consumers are concerned with the ease with which they can return an

item for the correct one or for a refund. Consumers may need to contact the retailer, visit the

post office and pay return shipping, and then wait for a replacement or refund. Some online

companies have more generous return policies to compensate for the traditional advantage

of physical stores. For example, the online shoe retailer Zappos.com includes labels for free

return shipping, and does not charge a restocking fee, even for returns which are not the

result of merchant error. (Note: In the United Kingdom, Online shops are prohibited from

charging a restocking fee if the consumer cancels their order in accordance with the

Consumer Protection (Distance Selling) Act 2000.)

2.13.2 Information and reviews

Online stores must describe products for sale with text, photos, and multimedia files,

whereas in a physical retail store, the actual product and the manufacturer's packaging will


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http://en.wikipedia.org/wiki/Home_delivery


http://en.wikipedia.org/wiki/DHL

http://en.wikipedia.org/wiki/Packstation


http://en.wikipedia.org/wiki/Zappos.com



http://en.wikipedia.org/wiki/DHL


http://en.wikipedia.org/wiki/Zappos.com




be available for direct inspection (which might involve a test drive, fitting, or other

experimentation).

Some online stores provide or link to supplemental product information, such as

instructions, safety procedures, demonstrations, or manufacturer specifications. Some

provide background information, advice, or how-to guides designed to help consumers

decide which product to buy.

Some stores even allow customers to comment or rate their items. There are also dedicated

review sites that host user reviews for different products.

In a conventional retail store, clerks are generally available to answer questions. Some

online stores have real-time chat features, but most rely on e-mail or phone calls to handle

customer questions.

2.13.3 Price and selection

One advantage of shopping online is being able to quickly seek out deals for items or

services with many different vendors (though some local search engines do exist to help

consumers locate products for sale in nearby stores). Search engines, online price

comparison services and discovery shopping engines can be used to look up sellers of a

particular product or service.

Shipping costs (if applicable) reduce the price advantage of online merchandise, though

depending on the jurisdiction, a lack of sales tax may compensate for this.

Shipping a small number of items, especially from another country, is much more expensive

than making the larger shipments bricks-and-mortar retailers order. Some retailers

(especially those selling small, high-value items like electronics) offer free shipping on

sufficiently large orders.

2.14 Concerns

2.14.1 Fraud and security concerns

Given the lack of ability to inspect merchandise before purchase, consumers are at higher

risk of fraud on the part of the merchant than in a physical store. Merchants also risk

fraudulent purchases using stolen credit cards or fraudulent repudiation of the online


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http://en.wikipedia.org/wiki/Review_site

http://en.wikipedia.org/wiki/Local_search_(Internet)


http://en.wikipedia.org/wiki/Price_comparison_service


http://en.wikipedia.org/wiki/Discovery_shopping


http://en.wikipedia.org/wiki/Sales_tax


http://en.wikipedia.org/wiki/Fraud


http://en.wikipedia.org/wiki/Review_site










services such as the Canadian based Wishabi attempts to include estimates of these

additional cost, but nevertheless, the lack of general full cost disclosure remains a concern.

2.14.3 Privacy

Privacy of personal information is a significant issue for some consumers. Different legal

jurisdictions have different laws concerning consumer privacy, and different levels of

enforcement. Many consumers wish to avoid spam and telemarketing which could result

from supplying contact information to an online merchant. In response, many merchants

promise not to use consumer information for these purposes, or provide a mechanism to

opt-out of such contacts.

Brick-and-mortar stores also collect consumer information. Some ask for address and phone

number at checkout, though consumers may refuse to provide it. Many larger stores use the

address information encoded on consumers' credit cards (often without their knowledge) to

add them to a catalog mailing list. This information is obviously not accessible to the

merchant when paying in cash.

2.14.4 Product suitability

Many successful purely virtual companies deal with digital products, (including information

storage, retrieval, and modification), music, movies, office supplies, education,

communication, software, photography, and financial transactions. Other successful

marketers use Drop shipping or affiliate marketing techniques to facilitate transactions of

tangible goods without maintaining real inventory.

Some non-digital products have been more successful than others for online stores.

Profitable items often have a high value-to-weight ratio, they may involve embarrassing

purchases, they may typically go to people in remote locations, and they may have shut-insas their typical purchasers. Items which can fit through a standard letterbox — such as

music CDs, DVDs and books — are particularly suitable for a virtual marketer.

Products such as spare parts, both for consumer items like washing machines and for

industrial equipment like centrifugal pumps, also seem good candidates for selling online.

Retailers often need to order spare parts specially, since they typically do not stock them at

consumer outlets—in such cases, e-commerce solutions in spares do not compete with retail

stores, only with other ordering systems. A factor for success in this niche can consist of


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http://en.wikipedia.org/wiki/Wishabi


http://en.wikipedia.org/wiki/Spam_(electronic)


http://en.wikipedia.org/wiki/Telemarketing

http://en.wikipedia.org/wiki/Virtual_shopping


http://en.wikipedia.org/wiki/Affiliate_marketing



http://en.wikipedia.org/wiki/Telemarketing

http://en.wikipedia.org/wiki/Virtual_shopping


http://en.wikipedia.org/wiki/Affiliate_marketing




3.RESEARCH METHOSOLOGY

Research always starts with the question of the problem. Its purpose is to find answer to the

questions. Research can be classified into broad categories.

(1) Basic Research

(2) Applied Research.

3.1 Research problem statement

“Consumer Buying Behaviour towards Online Shopping of Computer and Computer

peripherals in Lucknow City.”

3.1.1 Management question

Management wants to know the Consumer Buying Behaviour towards Online Shopping of

Computer and Computer peripherals in Lucknow city, so that they can craft the strategy

accordingly

3.1.2 Research question

The research question is the best state the research objectives of the research study which

provide the manager with information necessary to make decisions.

3.2 Research objective

The principle objectives of my project are as follows:

Primary objective:

To study the Consumer Buying behavior towards Online shopping of computer and

computer peripherals


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Secondary objective:

To study the awareness of Internet Retailing in Lucknow city

To study the buying pattern of consumer towards online shopping of computer and

computer peripherals in Lucknow city

To find out target group for online selling

To study the challenges of E-retailing in Lucknow city

3.2.1 Selecting the Objective

Firstly the objective was to selecting the topic to study Online shopping, so the survey was

conducted to study the Consumer Buying Behavior towards Online Shopping of

Computer/Computer peripherals in Lucknow City.

3.2.2 Specification of Objectives

After the area was selected, next task was to formulate it precisely, in order to overcome the

problem, following specification defined:

3.2.2.1 Unit of analysis

“The unit or object whose characteristics are to be measure are called Unit of analysis”

Earning person above the age of 18 were selected for Research program.

3.2.2.2 Time and space boundary

It define the time limit and area wherein the research has to be completed, The problem

chosen has to be solved within the limited time period, and another, Regarding space

boundary were limited for Lucknow only.

3.3 List of information needed

For the completion of the research the information needed regarding are

- Buying Behavior.

3.3.1 To know the Consumer Buying Behavior towards Online Shopping of

Compute/Computer Peripherals in Lucknow City the information required are.


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- Gender

- Occupation

- Annual Family Income

- Awareness

- Mode of payment

- Services

3.4 Research Design A Research Design is the over all frame work or plan use for the collection and analysis of

the data in the research project is broadly classified in 3 categories.

Exploratory research is carried out to define problem and develop hypothesis to be tasted

later. Descriptive research gives an account of frequency or characteristics of some of the

characteristic of some of the variable. Where Causal research helps in determine cause and

effect relationship.

3.4.1 Reason why Descriptive research

The reason of using descriptive design in present study is that it is not based on judgment

and intuition but on actual data collected and therefore, accurate in generalizing.In which research concerned with the finding out who, what, where, when, and how.

1 Have you ever made purchase of computer / computer peripherals over internet?

2 What helps you to decide which site to use for shopping online?

3 How many transaction have you made with the internet retailer over the past 12

months?

4 Did you ever been cheated by internet retailer?

5 Which kind of mode of payment do you prefer?

6 Do you recommend others for Online buying?

3.5 Sampling Plan

Sampling may be define as “The selection of some part of aggregate or totality on the basis

of which a judgment or inference about the aggregate totality is made.”


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In order to understand in detail we need to know the following item.

Universe refers to the total of the item or the unit in the field inquiry.

Population refers to the total of the items about which information is desired.

Sample refers the few item selected form the universe for study.

3.5.1 What is relevant population?

Population of Lucknow City is around 40 lakh. From that all the people above the age of 18

were selected as unit for research program and that could be around 27 to 32 lakh.

3.5.2 What are the parameter of interest?

This project report is prepared with the focus on the Consumer Buying Behavior towards

Online Shopping of Computer/Computer Peripherals in Lucknow City.

3.5.3 What is the sampling frame?

The sampling frame consists of the list item from which the sample is to be drawn. The

sample framer for the research constitutes the people residing in Lucknow city.

Business

Profession

Students

Service

Others


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3.5.4 What is the type of sample?

The project is entirely based on the practical approach. Project s based on the Convenience

sampling that is Non probability and unrestricted sampling because the questionnaire was

filled as per convenience and time.

3.5.5 what is the size of sample?

The size of sample refers to the number of items to be selected from the universe to

constitute the sample. This is major problem, the size of the sample should neither be

excessively large, nor to small, it should be optimum. Now an optimum sample is one,

which fulfills the requirement of efficiency, representative ness, reliability and flexibility. I

have selected the sample size of 150.

3.6 Data collection

There are basically two types of data primary and secondary.

3.6.1 Primary data

Primary data are those which are fresh and collected for the first time, that are original data.The source for the primary data is Questionnaire Method.

An assurance was given to customer that information given by them are kept strictly

confidential and use only for the academic purpose, otherwise respondent are hesitant to

answer the question related to their income and so forth.

3.6.2 Secondary data

Secondary data are those, which have been already collected by some one else and which

have been passed through statistical process, the various sources of collecting the secondary

data are

Library: It is one of the best place in getting the secondary data about the information

related to report preparation as well as referring various subject like buying behaviour, and

research methodology and other book help in collecting secondary data as well as

preparation of report.


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3.7 Processing and analyzing collected data

The processing analysis of data is based on the statistical package like SPSS, Excel,

percentage method and chart are also made to view the data pictorially.

3.8 Limitation of study

There is always a boundary existing every where and every time.

Every task that is undertaken has some obstacles in its way, some basic limitation that make

the task bit difficult are stated as follows

The survey was limited only to the physical boundaries of Lucknow city and that is

limited in the population and the sample size was limited to 150 respondents only.

The study on buying behaviour of consumer towards online shopping of computer

is limited to the product of computer and computer peripherals only.

As we survey the area of Lucknow city, the research could not give the result on the

whole. The people might have different attitude and behaviour for the product at different

places.

Thus despite of the limitation we have tried to make the report as accurate as we

could make.

3.9 Interpretation

This step involves inference from the analysis of the data collected. The required goal

fulfilled at this stage. All the data’s are carefully scrutinized and thereafter report was

prepared.

It was of no use of collection unless it is tabulated properly so as to interpret it with a view

to arrive at a certain logical and meaningful conclusion. Use of charts has been made with a

view to data pictorially, precisely, and to make study more interesting and easily

comprehensible.


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3.10 Report writing

This is the last step in the preparation of the project report. The sole objective of the report

writing was to report the finding to the concerned authority.


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4.CONSUMER BUYING BEHAVIOUR

Knowledge of the buying behaviour of consumer is essential for a market. The consumers bring the changes in the market. It is essential task for marketing behaviour of target

Market.

The Consumer market consist the individual and household the buy goods and Services for

personal consumption. It is attempted to understand and predict human actions in the buying

role. It has assumed growing in the importance under Market Oriented or Customer

Oriented working planning and Management.

Consumers very tremendously in age income adulation level and Preferences. Marketer

found it useful to distinguishably different consumer groups and to develop products and

services tailored to their needs. Consumer behaviour always involves choice.

Buying behavior includes acts of individual directly involves in obtaining and using

economics Good and Services includes sequences of decision processes that proceed and

determine these acts. Actual purchase is only a part of the decision process in buyers

behavior we consider not only why now and what people buy other factors. Such as where

how offer and under in find analysis buyer is one of the most important keys to successful

Marketing.

4.1 WHAT IS CONSUMER BEHAVIOR ?

The wealth and services product in a country make an economy strong. Almost all the

product which are available to buyer, have a number of alternative supplies that is suitable

products are available to customers. Who make a decision to buy products? Therefore, a

seller most of his time seeks buyers and tries to please them. In order to successful, a seller

is concerned with:

• Who is Consumer?

• What do Consumers buy?

• When do Consumers buy?


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• How do Consumers buy?

• From where do Consumers buy?

• Why do Consumers buy?

A buyer makes a purchase of a particular product or a particular brand and this can be

termed “Products buying Motives” and the reason behind the Purchase from particular

Seller is “Patronage Motives”.

The buyer may take a decision whether to save or spend the money. When he decision to

spend them there are many problems as to what to purchase because needs are numerous.

This leads to ranking the needs in terms of priority. Those the problems are consumption

problems where to buy, whom to buy etc.

4.2 FACTORS INFLUENCING CONSUMER BEHAVIOUR

Factor influencing the consumer behaviour are internal needs, motives, perception and

attitude as well as external- family, social group, cultural, economic, business influences,

etc.

4.2.1 Economics Factors.

An economics factor of buying behaviour is un-diplomacy it assumes that Consumers are

economics. When are they following the principle of maximization of utility based on the

low of diminishing Managerial utility. As economic when, consumer evaluations rationally

the alternative in terms of cost and value received. They try to maximize their utility or

satisfactory while spending them scarce resources of time, energy and money.

4.2.2 Psychological Factors

Psychology has contributed much to the markers to understand the buyer’s psychology

explains how consumers learn about a product and how they can recall from the memory.

The development of buying habits, this includes the following factors:

a) Motive


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A buying motive is the reason why a person buys particular products. It is the driving force

behind buying behavior and may be based on psychological or psychological want

marketers are in rested in patronage motives such as store loyalty and brand loyalty.

b) Perception

Perception causes the behavior in a certain way perception influences this behavior. It gives

direction to the taken by the behaviour. It the meaning we have on the bases on our past

dependence.

c) Learning

Learning refers to changes in behaviour brought about by practice or experience. Almost

every timing one does or timing is learned product features such as price quality services,

brand, packing, etc. Act as hints influencing consumer’s response.

d) Attitude

Attitude is a state of mind of fillings it includes a per disposition to behave in source way.

Attitude core very important in explaining buyer’s behaviour. A change in attitude leads to

changes purchasing attitude and modify buyer behaviour knowledge of consumer attitude

can product redesigning packages and developing and evaluating promotional programs.

e) Personality

In general perception attitude belief lead collectively to a consistent response by the

individual to his environment. This consistent pattern or behaviour is termed as personality

its primary teachers are self-concept role and level of consciousness.

4.2.3 Social Factors

This includes the following factors:

a) Family

Most consumers belong to a family group. The family can exert considerable influence in

shaping the pattern of consumption and indicating the decision making role personal value

attitude and buying habits have been shaped by family influences.

b) Reference Group


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The small group to which the buyer belongs influence buyer behaviour. A human being is

considered as a social animal spending much of his or her life in group situation, group

norms direct attention of its member to a new style of a product.

c) Social Class

As a predictor of consumption patterns marketing management is familiar with social

classes consumers, buying behaviour is determined by the social class to which they espiers

rather than by their income belong. Proudly speaking we have distant social class upper,

middle and lower classes usually stress rationality, exhibit sense of choice making whereas

consumers of lower classes have essentially no rational purchases and show limited sense of

choice making. The three social classes will have differences in the stress they patronize.

The magazines they read and abutting and furniture they select social class may act as one

criterion for market segmentation.

d) Culture

A culture is as distinctive way of life of a group of people their complete design for living it

is the man made pan or man’s environment the sum total of his knowledge. Belief morals

customers. Art laws etc it includes the attitude and values of a whole society and affects the

ways in which we do things, see tunic, use things and judge things in every culture.

European culture, American culture etc. Marketing strategies can developed for each culture

separately.

4.3 BUYING DECISION PROCESS

The process consists include following step:


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4.3.1 Recognition of an unsatisfied need

When a person has an unsatisfied need the buying process begins to satisfy the needs

generally the unsatisfied need leads to tension. The nature of the want indicates the speed

with which a person moves to fulfil the unsatisfied want which is of high pressing need on

the basis of need and its urgency forms the order of pointy.

4.3.2 Identification of Alternatives

Different alternatives are available in the market the consumer must know the brand of the

product which gives maximum satisfaction and the person has to source out for relevant

information of the product brand location etc.

4.3.3 Valuation of Alternatives

This is a critical stage especially with regard to the costly items consumers have different

alternatives. The attributes tastes colour price durability etc. have different preference the

marketers must understand this process.

4.3.4 Purchase Decision

By considering the likes and dislikes of alternatives one is about to take a decision as to buy

one will consider with reference to product type price quality etc. A seller can facilitate such

consumers to understand the products through advertisements.

4.3.5 P ost Purchase Decision


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Feedback information is important as for as a seller is concerned. A brand preference

maturely repeats sales to a marketer. A satisfied buyer is a silent advertisement. A satisfying

dependence of a buyer tends to strengthen the brand preference.


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5.DATA ANALYSIS & INTERPRETATION

Gender wise classificationGender wise classification

Particulars Respondents Percent

Valid Male 86 57.3

Female 64 42.7

Total 150 100.0

Gender classification

Male

57%

le

Male

Femal

Interpretation: From the above table and chart we can examine that out of the total

respondents 150, 57% of the respondents were male i.e. 86 respondents were male while

43% of the respondents were female i.e. 64 were female respondents.


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Age group wise classification

Age group wise classification


Valid < 20 years 21 14.021-30 years 67 44.0

31-40 years 31 20.7

41-50 years 18 12.0

> 50 years 13 8.7

Total 150 100.0

Age Group Of Respondent

age, 14%

age, 44%

21%

age, 12%

age, 9% < 20 yrs

21-30 yr

31-40 yr

41-50 yr

> 50 yrs

Interpretation : From the above table and the chart we examine that majority of the

respondents i.e. 44% of the respondents were in the age group of 21-30 years followed by

21% respondents in the age group 31-40 years, while the lowest 9% respondents were there

in the age group above 50 years while 12% were the respondents in the age group below

41-50 years.


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Occupation wise classification

Occupation wise classification


Valid Business 26 17.3

Profession 27 18.0

Student 52 34.7

Service 34 22.7

Others 11 7.3

Total 150 100.0

Interpretation : From the above table and chart we can examine that 35% of the

respondents were students i.e. 52 respondents were students followed by occupation likeservice and profession with 23% and 18% respectively i.e. 34 and 27 respondents

respectively, while the respondent who were engaged in the occupation of business were

17% i.e. 26 respondents . The respondents engaged in other type of occupation were 7%.


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Business Profession

Student

Service

Others

0

10

20

30

40

50

60

No. of respondent

Business

Service

Profession

Student

Others




Annual family income wise classification

Annual family income wise classification


Valid < 50,000 16 10.7

50,000-1,00,000 25 16.7

1,00,000-2,00,000 48 32.0

2,00,000-3,00,000 45 30.0

> 3,00,000 16 10.7

Total 150 100.0

0% 10% 20% 30% 40%

< 50,000

50,000-

1,00,000

1,00,000-

2,00,000

2.00.000-

3,00,000

> 3,00,000

Annual family income

> 3,00,000

2.00.000-3,00,00

1,00,000-2,00,00

50,000-1,00,000

< 50,000

Interpretation : From the above table and chart we examine that 32% of the respondent

belong from annual income group of 1,00,000 to 2,00,000. followed by 30% of respondent

which belong to the income group of 2,00,000 to 3,00,000 while the income group above

3,00,000 the respondents were 11%.


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What is your highest level of education?

Education

Interpretation : From the above chart we examine that majority of the respondents

education; 39% of the total respondents were graduate followed by 31% of the respondent

were postgraduate, 15% of the respondents were undergraduate while only 2% of the total

respondents were PhD


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Valid High school 4 2.7

Diploma 10 6.7

Undergraduate 22 14.7

Graduate 58 38.7

Post graduate 47 31.3

Ph.d 3 2.0

Others 6 4.0

Total 150 100.0

0

10

20

30

40

50

60

70

No. of respondent

High school

Diploma

Undergraduate

Graduate

Post Graduate

P hd

Others




Are you aware of Internet Retailing ?

Aware of Internet Retailing

Aware of Internet Retailing * Age group Crosstabulation

Age group Total

< 20 years 21-30 years 31-40 years 41-50 years > 50 years < 20 years

Aware of InternetRetailing

Yes 12 52 22 15 13 114

No 9 15 9 3 0 36

Total 21 67 31 18 13 150

Aware of internet retailing

Male

Female

24% Male

Female

Interpretation : From the above table and chart we examine that 76% of the respondent

i.e. 114 respondent are aware of internet retailing and only 26% of the respondent i.e. 36

respondent are not aware of internet retailing. From the cross tabulation we can examine

that youngsters are more aware of internet retailing. We also examine that age group

between 21-30 years 31-40 years are more aware of internet retailing


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Particulars Respondent Percent

Valid Yes 114 76.0No 36 24.0

Total 150 100.0




1) Have you ever made purchase of computer/computer peripherals over

internet?Purchase of Computer / Computer Peripherals


Valid Yes 42 28.0

No 108 72.0

Total 150 100.0

Table showing purchases of computer and peripherals

Purchasers Respondents Total

Valid Computer 9 9+18=27

Computer peripherals 15 15+18=33

Both computer and computer peripherals 18 9+15+18=42

Total 42

Age group * Purchase of Computer / Computer Peripherals Crosstabulation

Purchase of Computer /Computer Peripherals

Total

yes No yes

Agegroup

< 20 years 1 20 21

21-30 years 33 34 67

31-40 years 6 25 31

41-50 years 1 17 18

> 50 years 1 12 13

Total 42 108 150

Annual family income * Purchase of Computer / Computer Peripherals Crosstabulation

Count


Total

yes No yes

Annualfamily

income

< 50,000 1 15 1650,000-1,00,000 6 19 25

1,00,000-2,00,000 7 41 48

2,00,000-3,00,000 16 29 45

> 3,00,000 12 4 16

Total 42 108 150


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Occupation * Purchase of Computer / Computer Peripherals Crosstabulation

Count


Total

yes No yes

Occupation

Business 1 25 26

Profession 5 22 27Student 28 24 52

Service 8 26 34

Others 0 11 11

Total 42 108 150

Gender * Purchase of Computer / Computer Peripherals Crosstabulation

Particulars


Total

yes No

Gender Male 27 59 86

Female 15 49 64

Total 42 108 150

Chi-Square Tests

Value df Asymp. Sig.

(2-sided)

Pearson Chi-Square 1.153(b) 1 .283

ContinuityCorrection(a)

.792 1 .374

Likelihood Ratio 1.166 1 .280

Fisher's Exact Test

Linear-by-Linear Association

1.145 1 .285

N of Valid Cases 150

a Computed only for a 2x2 table b 0 cells (.0%) have expected count less than 5. The minimum expected count is 17.92.

Null Ho : Gender and Purchase of Computer and computer peripherals are independent

attributes.

H1 : Gender and purchase of Computer and Computer peripherals are not independent

attributes.

Here the Pearson chi square is .283 which is greater than 0.05 (5% significance level)

Hence we fail to reject the null hypothesis, hence we can conclude that Gender and

purchase

of computer and computer peripherals are independent attributes


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Online purchase of computer/

computer peripheralsyes

28%

no

72%

yes

Interpretation : From the above table and chart we can examine that out of the total

150 respondents, 28% respondents i.e. 42 respondents have made the purchase of computer

or computer peripherals on internet. While 72% respondents i.e. 108 respondents have

never made the purchase of computer or computer peripherals on internet. We also examine

that youngsters in the age group 21-30 years and the annual family income group of Rs

2,00,000 to 3,00,000 and above tends to purchase computer and computer peripherals on

internet


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1a) Computer purchasers

Computer Purchaser

Particulars Respondents

Valid yes 27No 15

Total 42

Missing System 108

Total 150

Gender * Computer Purchaser Crosstabulation

Computer Purchaser Total

yes No

Gender

Male 20 7 27

Female 7 8 15

Total 27 15 42

Interpretation: From the above chart and table we can examine that out of the total 150respondents 28% respondents have made the purchase of computer or computer peripherals

on internet, out of 28% i.e. 42 respondents, 27 respondents have made the purchase of

computers on internet, in which 9 respondents have made the purchase of computers only

while 18 respondents have made the purchase of both computer as well as of peripherals


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Online Buying of compu

yes, 64

no, 36

yes no




1b) Computer Peripherals

Computer Peripherals purchaser

Particulars Frequency

Valid yes 33no 9

Total 42

Missing System 108

Total 150

Gender * Computer Peripherals purchaser Cross tabulation

Computer Peripheralspurchser

Total

yes no

Gender

Male 22 5 27

Female 11 4 15

Total 33 9 42

Online Buying of Computer

Peripherals

yes

no

22%

yes no

Interpretation : From the above chart and table we can examine that out of the total 150

respondents 28% respondents have made the purchase of computer or computer peripherals

on internet, out of 28% i.e. 42 respondents, 33 respondents have made the purchase of

computers peripherals on internet. In which 15 respondents have made the purchase of

computer peripherals only while 18 respondents have made the purchase of both computer

as well as peripherals.


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3) What helps you decide which site to you use for shopping online?

Site to use


Valid Search engine 21

personal recommendation 4

Special offer I saw 9

Online advertising 5

Tv advertising 3

Total 42

Missing System 108

Total 150

Age group * Site to use Cross tabulation

Site to use Total

Searchengine

personalrecommen

dation

Specialoffer I saw

Onlineadvertising

Tv advertisingSearchengine

Agegroup

< 20 years 0 0 1 0 0 1

21-30 years 17 4 5 5 2 33

31-40 years 4 0 1 0 1 6

41-50 years 0 0 1 0 0 1

> 50 years 0 0 1 0 0 1

Total 21 4 9 5 3 42


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0

5

10

15

20

25

No. of respondent

Search Engine

PersonalRecommendation

Online advertising

TV advertising

Special offer I saw

Others




Interpretation: From the above table and chart we can examine that out of 42 respondents

who have made the purchase of computer or computer peripherals on internet, 21

respondents have used the link through the use of search engine followed by 9 respondents

who used the site by the special offer they saw and only 3 respondents have used the site

through the use of T.V. advertisement. We also examine that majority of youngsters prefer search engine.


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4) What type of Computer you have purchased on the Internet?

Type of Computer Purchased Online


Valid Desktop 9

Laptop 16Palmtop 2

I pad 0

Others 0

Total 27

Missing System 123

Total 150

Gender * Type of Computer Purchased Online Cross tabulation

Count

Type of Computer Purchased Online Total

Desktop Laptop Palmtop Desktop

Gender Male 8 10 2 20

Female 1 6 0 7

Total 9 16 2 27

Occupation * Type of Computer Purchased Online Crosstabulation

Count



Occupation

Business 0 1 0 1

Profession 0 0 2 2

Student 8 13 0 21

Service 1 2 0 3

Total 9 16 2 27

Age group * Type of Computer Purchased Online Crosstabulation

Count



Agegroup

21-30 years 8 14 0 22

31-40 years 1 2 1 4

> 50 years 0 0 1 1

Total 9 16 2 27


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Types of computers

Desktop

33%

Laptop

59%

Palmtop

8%

I-Pad

0%

others

0%Desktop Lapt

Palmtop I-Pad

others

Interpretation : From the above table and chart we can examine that out of 42 respondents

who have made the purchase of computer or computer peripherals on internet and out of

that only 27 respondents have made the purchase of computers, 16 respondents have made

the purchase of laptop while the desktop and palmtop purchaser were 9 respondents and 2

respondents respectively. There was not a single purchaser of I- pad from the total

respondents. Majority of students in the age group 21- 30 years prefer to purchase computer

on internet.


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5) What types of Computer Peripherals you have purchased on the

Internet?

Computer Peripherals PercentageMotherboard 5%

Monitor 11%

Hardisk 1%Digital Camera 20%

Printer 11%

Key board 10%

Dvd Rom/writer/ Drivers 3%

Scanner 16%

CPU 7%

Laptop batteries 13%

Mouse 2%

Others 1%Total 100%

5%

11%

1%

20%

11%3%

16%

13%

7% 2%1%

10%

Mother board

Monitor

Hard disk

Digital camera

Printer

Keyboard

Dvd/Rom/Writer

Scanner

Laptop batteries

CPU

Mouse

Others


who have made the purchase of computer or computer peripherals on internet and out of

that only 33 respondents have made the purchase of computers peripherals, in which 20 %

of respondents have made the purchase of digital camera the other peripherals which were

purchased are scanner laptop batteries and printer were 16% 13% & 11% respectively. Only

one 1 % of the respondents have made the purchase of hard disks.


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6) Which kind of mode of payment do you prefer?

Mode of Payment

Modes of payment Respondents

Valid Cash on Delivery 11

Credit card 24

Debit card 4

Money transfer 3

Total 42

Missing System 108

Total 150

Occupation * Mode of Payment Crosstabulation

Mode of Payment Total

Cash onDelivery

Credit card Debit card Moneytransfer

Cash onDelivery

Occupation

Business 0 1 0 0 1

Profession 1 4 0 0 5

Student 5 16 4 3 28

Service 5 3 0 0 8

Total 11 24 4 3 42

Age group * Mode of Payment Crosstabulation

Mode of Payment Total

Cash onDelivery

Credit card Debit cardMoneytransfer

Cash onDelivery

Agegroup

< 20 years 0 1 0 0 1

21-30 years 10 16 4 3 33

31-40 years 1 5 0 0 6

41-50 years 0 1 0 0 1

> 50 years 0 1 0 0 1

Total 11 24 4 3 42


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0% 20% 40% 60%

cash on delivery

Debit card

Demand draft

others

Column1others

Money transfer

Demand draft

Cheque

Debit card

credit card


who have made the purchase of computer or computer peripherals on internet. In which 24

respondents prefer credit card as mode of payment for delivery, while the other respondents

who prefer cash on delivery, debit card and money transfer were 11, 4 and 3 respondents.


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7) Did you ever return the computer after you have received it?

Return of computer


Valid yes 4no 23

Total 27

Missing System 123

Total 150

Gender * Return of computer Cross tabulation

Return of computer Total

yes no

Gender

Male 4 16 20

Female 0 7 7

Total 4 23 27

Return of computer after deliveryyes

15%

no

yes

Inerpretation : From the above table and chart we can examine that out of 42 respondents

who have made the purchase of computer or computer peripherals on internet. In which the

27 respondents purchased computer in which only 4 respondents return the computer after

having received it. While the other respondents are seems to be quite satisfied to purchase

computers on internet.


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8) Did you ever return the computer peripherals after you have received

it?Return of Peripherals


Valid Yes 6no 27

Total 33

Missing System 117

Total 150

Gender * Return of Peripherals Cross tabulation

Return of PeripheralsTotal

yes no

Gender Male 5 17 22

Female 1 10 11

Total 6 27 33

Return of computer peripheralsafter delivery

yes

18%

yes n


who have made the purchase of computer or computer peripherals on internet. In which the

33 respondents purchased computer peripherals in which only 6 respondents return the

computer peripherals after having received it. While the other respondents are seems to be

quite satisfied to purchase computers peripherals on internet.


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9) Did you contact the customer service department of Internet retailer

with a complaint or problem?

Contacted Customer Service Department


Valid yes 19

no 23

Total 42

Missing System 108

Total 150

Contacted CSD of internet retailer

with Complaint/Problem

45%

55%

yes

no

yes


who have made the purchase of computer or computer peripherals on internet. In which

45% of the respondent i.e. 19 respondents contacted customer service department with

complaint or problem while 55% i.e. 23 respondents didn’t contacted customer service with

the complaint or problem.


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10) How many transactions have you made with the Internet retailer over

the past 12 months?

Transaction in Past Twelve months


Valid 0 12

1 17

2 9

3 2

4 2

Total 42

Missing System 108

Total 150

0

2

4

6

8

10

12

14

1618

No. of respondent

0

1

2

3

4

56

More than 6


who have made the purchase of computer or computer peripherals on internet. The number

of transaction which respondents has done in past twelve months were 17 respondents made

one transaction in a year 9 respondents made two transaction while two respondents each

made transaction for three and four time respectively, 12 respondents didn’t purchased

anything in past twelve months.


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11 a) Do you think on-line buying is a novel, fun way to shop?

Online Shopping is a Novel fun way to Shop


Valid Strongly disagree 1

Disagree 3Neutral 8

Agree 10

Strongly agree 20

Total 42

Missing System 108

Total 150

Strongly Disagree

2% Disagree7%

Neutral21%

Agree23%

Strongly Agree47%

StronglyDisagree

Disagree

Neutral

Agree

Strongly Agree


who have made the purchase of computer or computer peripherals on internet. 47%respondent i.e. 20 respondents strongly agree that it is a novel fun way to shop on internet.

While ten and eight respondents are agree and neutral that online shopping is a novel fun

way to shop. Three respondents were disagree that online shopping is a novel fun way to

shop.


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11b) Do you think Internet shopping offers better selection than local

stores?Online Shopping Provides Better Selection


Valid Stongly dis agree 5Dis agree 5

Neutral 7

Agree 5

Strongly Agree 20

Total 42

Missing System 108

Total 150

Ho mean score of male and female are same

H1 mean score of male and female are different

Group Statistics

Gender N Mean Std. Deviation Std. Error Mean

Online Shopping Provides

Better Selection

Male 27 3.78 1.368 .263

Female 15 3.60 1.682 .434

Total 42

Independent Samples Test

Levene's Testfor Equality of

Variancest-test for Equality of Means

F Sig. t df Sig. (2-tailed)

MeanDiffere

nce

Std.Error

Difference

95% ConfidenceInterval of the

Difference

Onlineshoppingprovidesbetter selection

Equalvariancesassumed

1.544 .221 .372 40 .712 .178 .478 -.789 1.145

Equalvariance

s notassumed

.350 24.410 .729 .178 .508 -.869 1.225

Ho: variance are equal

H1: variance are not equal

Here the Levence test of equality of variance gives f value 1.544 and its significance value .

221 so we fail to reject the Ho, So we assume that variance are equal.


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Hence the t calculated at 40 D.O.F is .372 and its significance value is .712 so we can

conclude that the Ho is fail to reject. Ho male and female are same

12%

12%

17%

12%

%

Strongly disagree

Dis agree

Neutral

Agree

Strongly agree


who have made the purchase of computer or computer peripherals on internet. 47%

respondent i.e. 20 respondents strongly agree that internet shopping offers better selection

than local stores, 12% respondents agree while 17% of the respondents were neutral that

internet shopping provides better selection than local stores.


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11c) Do you think the Internet offers lower prices than local stores?

Online Shopping Provides Better Prices



Dis agree 5

Neutral 19

Agree 6

Strongly Agree 8

Total 42

Missing System 108

Total 150

9%

12%

45%

14%

20%

0% 10% 20% 30% 40% 50%

Strongly

Disagree

Disagree

Neutral

Agree

Strongly Agree

Strongly A

Agree

Neutral

Disagree

Strongly

Disagree


who have made the purchase of computer or computer peripherals on internet. 45%respondent were neutral that internet shopping provides goods at lower price than local

stores, 20% and 14% of the respondents were strongly agree and agree respectively that

internet offer goods at lower prices than local stores.


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11d) Do you find the Internet ordering process is hard to understand?

Ordering process is Hard to Understand in Online Shopping


Valid Stongly Disagree 3

Dis agree 17

Neutral 12

Agree 8

Strongly agree 2

Total 42

Missing System 108

Total 150

7%

40%

29%

19%

5%0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Strongly Dis agree Neutral Agree Strongly

Strongly disagree

Dis agree

Neutral

Agree

Strongly agree


who have made the purchase of computer or computer peripherals on internet 40% of the

respondents were disagree that internet order processing is hard to understand, while 29%

and 19% respondents were neutral and agree that internet order processing is hard to

understand.


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11 e) Do you like the delivery of Internet buying?

Delivery of Online Shopping



Disagree 5Neutral 13

Agree 14

Strongly Agree 8

Total 42

Missing System 108

Total 150

5%

12%

31%

33%

19%

0% 10% 20% 30% 40%

Strongly

Disagree

Disagree

Neutral

Agree

Strongly

Agree

Strongly A

Agree

Neutral

Disagree

Strongly

Disagree


who have made the purchase of computer or computer peripherals on internet. 31% of therespondent were neutral that they like the delivery. While 33% and 19% of the respondents

were agree and strongly agree that they like the delivery of goods purchased on internet.


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12a) Did you ever been cheated by the Internet retailer?

Cheated


Valid Yes 9no 33

Total 42

Missing System 108

Total 150

Gender * Cheated Cross tabulationCount

CheatedTotal

yes no

Gender Male 8 19 27

Female 1 14 15

Total 9 33 42

Cheated while buying on Internet

21%

79%

yes


who have made the purchase of computer or computer peripherals on internet. 21% of the

respondent i.e. is 9 respondents were cheated by internet retailer while 79% respondents

that is 33 respondents were not cheated by the internet retailer.


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12b) Did the Internet Retailer made any favor to your complain?

Favour to complain


Valid yes 29

no 13

Total 42

Missing System 108

Total 150

Gender * Favour to complain Crosstabulation

Count

Favour to complainTotal

yes no

Gender Male 18 9 27

Female 11 4 15

Total 29 13 42

Internet retailer made favour

towards the complaint

yes



respondents i.e. 29 respondents were favor by the internet retailer towards the complaint

made while 31% respondent i.e. 13 respondents feel that internet retailer didn’t made any

favor to their complaint.


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12C) Did you ever come to know that someone is cheated by internet

retailer?Some one cheated

Particulars Frequency

Valid yes 23

no 19Total 42

Missing System 108

Total 150

Gender * Some one cheated Crosstabulation

Count

Some one cheatedTotal

yes no

Gender Male 20 7 27

Female 3 12 15Total 23 19 42

Any other cheated by Internet

retailer

55%

45%

yes



respondents have came to know that some one is cheated by internet retailer while 45% of

the respondents have never heard that some one is cheated by internet retailer.


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12D) Do you recommend others for online buying?

Recommend others for Online Shopping


Valid yes 29

no 13Total 42

Missing System 108

Total 150

Gender * Recommend others for Online Shopping Crosstabulation

Count

Recommend others for Online Shopping

Total

yes no

Gender Male 19 8 27Female 10 5 15

Total 29 13 42

Recommend others for online

buying

69%

31%

yes



respondents recommend others for shopping online while 31% of the respondents don’t

want to recommend others for shopping online of computer or computer peripherals.


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13) What is the reason for not Buying online?

Reason for not Buying Online

Gender * Reason for not Buying Online Crosstabulation

Reason for not Buying Online

Insecurity of credit card

transactionon theinternet

Touch feelattribute is

missing inonlineshopping

Threat

of privacyviolation

Lack of

after salesservice

Lack of customer service

Retailinexperience

Createsconfusion

Gender Male20 5 7 14 8 0 5

Female 9 19 9 3 2 4 3

Total29 24 16 17 10 4 8


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Valid Insecurity of credit card transaction on the internet 29

Touch feel attribute is missing in online shopping 24

Threat of privacy violation 16

Lack of after sales service 17

Lack of customer service 10

Retail inexperience 4

Creates confusion 8

Total 108

Missing System 42

Total 150





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14) Will you change your decision to buy online in future?

Change your Decision


Valid Yes 34No 74

Total 108

Missing System 42

Total 150

Gender * Change your Decision Cross tabulation

Change your DecisionTotal

yes no

Gender Male 23 36 59

Female 11 38 49Total 34 74 108

Change your decision to buy online

in future31%

69%

yes no


who have not made the purchase of computer or computer peripherals on internet. 31% of

the respondent will change their decision to buy online in future while 69% of the

respondents are still resistant to do online shopping of computer or computer peripherals .


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6.CONCLUSION, MANAGERIAL IMPLICATION & FINDINGS

6.1 FINDINGS

The survey was quite successful to obtain information from respondent regarding different

aspects of online shopping

In the world of information technology, youngsters are more aware about internet

shopping.

From the survey it was found out that out of 150 respondents 76% of the

respondent i.e. 114 respondent are aware of internet retailing and only 26% of the

respondent i.e. 36 respondent are not aware of internet retailing. From the cross tabulation

we also examined that youngsters are more aware of internet retailing.

From the survey it was found out that the respondents in the age group 21-30 years

and the respondents with the annual family income group of Rs. 2,00,000 to 3,00,000 and

above that tends to purchase computer and computer peripherals on internet. The major

respondents which purchase on internet are students.

From the survey it was found out that out of the total 150 respondents, 28%

respondents i.e. 42 respondents have made the purchase of computer or computer

peripherals on internet. While 72% respondents i.e. 108 respondents have never made the

purchase of computer or computer peripherals on internet.

From the survey it was found out that 28% i.e. 42 respondents have made the purchaseof computer or computer peripherals on internet , 27 respondents have made the purchase

of computers on internet on the other side 33 respondents have made the purchase of

computer peripherals on internet. There were 18 respondents out of 42 respondents who

made the purchase of both the computer and computer peripherals.

From the survey it was found that 21 respondents have used the site through the

use of search engine followed by 9 respondents who used the site by the special offer they

saw and only 3 respondents have used the site through the use of T.V. advertisement.


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In the survey 27 respondents have made the purchase of computers, 16

respondents have made the purchase of laptop while the desktop and palmtop purchaser

were 9 respondents and 2 respondents respectively. While the computer peripherals

purchaser were 33 respondents, in which 20 % of respondents have made the purchase of

digital camera the other peripherals which were purchased are scanner laptop batteries and

printer were 16% 13% & 11% respectively.

From the survey 42 respondents who have made the purchase of computer or

computer peripherals on internet. In which 24 respondents prefer credit card as mode of

payment for delivery, while the other respondents who prefer cash on delivery, debit card

and money transfer were 11, 4 and 3 respondents.

From the survey we examine that out of 42 respondents who have made the purchase of

computer or computer peripherals on internet. 69% of the respondents recommend others

for shopping online while 31% of the respondents don’t want to recommend others for

shopping online of computer or computer peripherals.

From the survey we can examine that out of 108 respondents who have not made the

purchase of computer or computer peripherals on internet. 29 respondents has given reason

for not buying online is insecurity of credit card transaction while 24 and 17 respondents

does not buy online because of touch feel attribute is missing and because of lack of after

sales service while 16 and 10 respondents does not buy online due to threat of privacy

violation and lack of customer service.


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6.2 CONCLUSION

Increased Internet penetration, a hassle free shopping environment and high levels of Net

savviness see more and more Indians shopping online. But at the same time the companies

need to reduce the risks related to consumer incompetence by tactics such as making

purchase websites easier to navigate, and introducing Internet kiosk, computers and other aids in stores.

The goal is not to convert all shoppers to online purchasing, but to show them it‘s an option.

In addition to above, efforts need to be taken to educate the online buyers on the steps that

need to be undertaken while making an online purchase. Moreover, the feedback of an

online buyer should be captured to identify flaws in service delivery. This can be done

through online communities and blogs that serve as advertising and marketing tools and a

source of feedback for enterprises. I found that it is a challenge for E-marketers to convert

low frequency online buyers into regular buyers through successful website design and by

addressing concerns about reliable performance.

From the analysis of questionnaire we can conclude that though the people are aware of

Online shopping, but still people hesitant to purchase through Internet. Demographically we

conclude, then youngster having more knowledge about Online shopping. As normally they

are educated or education is on, so they are in better touch with Internet. Also they are

influence by advertisements.

We can also conclude that people having negative attitude towards e-Retailing. People are

normally hesitant to purchase through Internet due to their wrong belief. In India still e-

retail is at introductory stage or we can say that at growth stage in metro cities. So ample

opportunities are there.

Thus, the online retailing raises more issues than the benefits it currently offers. The quality

of products offered online and procedures for service delivery are yet to be standardized.

Till the same is done, the buyer is at a higher risk of frauds.


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6.3 MANAGERIAL IMPLICATION

Efforts need to be taken to educate the online buyers on the steps that need to be

undertaken while making an online purchase.

Proper security should be assured to the people making online purchases. .

It is recommended that e-retailer must offer lower price and offer to attract more and more

customer.

Stores those provide e-retailing must have performed demonstration to make

customer aware and create trust among them.

Stores who provide these facilities must have developed their own store card, so

customer who don’t have credit card, can also purchase.

Delivery charge must be as low as possible as it can, and delivery must be as fair as

possible.

Retailer who provides e-retailing facility must have their service station on

regional basis to promote after sale services.

E-retailers must come up with new promotional strategies and price strategies to

achieve sustainable competitive advantage.

Retailers who provide e-retailing facility must maintain the quality level in each

categories of product as physical orientation is not there so that the concern of customers

towards quality can be taken into consideration.

Retailers should provide safety precautions like anti hacking software or anti theft

software, as a lot of customer use credit card when they do online transaction.


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BIBLIOGRAPHY

BOOKS:

Business Research MethodologyAuthor: Donald cooper and Pamela SchindlePublisher:-TATA McGraw hillYear of publication:-2003Donald cooper and Pamela Schindle (2003),”Business research methodology ,”TATAMcGraw hill.

Marketing ManagementAuthor: Philip Kotler, Kevin Lane Keller, Abraham Koshy, Mithileshwar JhaPublisher:-Dorling Kindersley (India) pvt. Ltd. Licenses of Pearson education

Year of publication:-2007Philip Kotler and Kevin Lane Keller, marketing management (2007) 12th edition, Pearsoneducation

Websites:

http://www.extreme-dm.com/tracking/

http://www.expresscomputeronline.com /eretailing.html

http://www.globalsources.com/docs/eret.htm

http://www.searchit.com/addurl.htm

http://www.woyaaonline.com .tlist/eRetailing.html

http://www.quova.com/page.php?id=35

http://www.crm2day.com/news/crm/EpFFAZAkZyOETHOUtr.php

http://www.disl.com/eretailing.htm

http://www.bitpipe.com/12943.htm

http://www.comtrust.co.ae/docs/eret.htm#top

http://www.findarticles.com/p/articles/mi m3374/is 5 21/ai 54186738

http://www.dmnews.com/cms/dm-news/direct-response-tv/12833.html


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http://www.expresscomputeronline.com/


http://www.globalsources.com/


http://www.woyaaonline.com/





http://www.bitpipe.com/tlist/eRetailing.html


http://www.findarticles.com/p/articles/mi%20m3374/is%205%2021/ai%2054186738




http://www.globalsources.com/






http://www.bitpipe.com/tlist/eRetailing.html


http://www.findarticles.com/p/articles/mi%20m3374/is%205%2021/ai%2054186738





http://www.equitymaster.com /articles/mi m 3425/ai.html

http://www.siliconindia.com .tlist/eRetailing.html

http://www.laws4india.com /addurl.htm


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http://www.equitymaster.com/


http://www.siliconindia.com/


http://www.laws4india.com/








Questionnaire

We are conducting a survey about Online Buying Behaviour and would like toknow your views and opinions for this. We hope you will not mind spendingfew minutes from your precious time helping us by completing these few

question.We’d like to know your views about Consumer Buying Behaviour towardsOnline Shopping of Computer and Computer Peripherals in LucknowCity, so we request you to please fill up the following questions.

Name:

Contact No:

E-mail address:

Age group: Gender: Male Female

< 20 yrs 21-30yrs 31-40yrs 41-50yrs >50yrs

What is your Occupation? (Mark as applicable)

Business Profession Student

Service Others

What is your Annual family income?

Less than-50,000 50,000-1,00,000 2,00,000-3,00,000

1,00,000-2,00,000 Above 3,00,000

What is your highest level of education? (select multiple)

High school Diploma

Undergraduate

Graduate Post Graduate P. hd.

Others (specify)______________________

Are you aware of Internet Retailing?

Yes No


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1) Have you ever made purchase of computer / computer peripherals overinternet?

Yes No

a) Computer Yes

No

b) Computer Peripherals Yes

No

If your answer is No , please go to question no. 13

2) In the past three months, have you purchased any computer orcomputer peripherals through Internet, for your personal use?

Yes No

3) What helps you decide which site to you use for shopping online?

Search engine Personal recommendation Special offer I saw

Online advertising TV advertising

4) What type of Computer you have purchased on the Internet?

Desktop

Laptop

Palmtop

I - Pad

Other (specify)___________________

5) What types of Computer Peripherals you have purchased on theInternet? (select multiple)

Mother Board Monitors HardDisk

Digital Camera Printer KeyBoard

DVD Rom/DVD Writer/ External Driver Scanner

C.P.U UPS Mouse

Laptop batteries Other (PleaseSpecify)_________________

6) Which kind of mode of payment do you prefer? (select multiple)

Cash on Delivery Credit Card Debit card

Cheque Demand Draft Money Transfer


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Other

7) Did you ever return the computer after you have received it?

Yes No

8) Did you ever return the computer peripherals after you have receivedit?

Yes No

9) Did you contact the customer service department of Internet retailerwith a complaint or problem?

Yes No

10) How many transactions have you made with the Internet retailer overthe past 12 months?

0 1 2 3 4 5 6 or more___________

Below are the questions related to the online buying of computer and computer peripherals

11) Please give following answers with tick mark (√) in a particular

number box.1= Strongly Disagree2= Disagree3= Neutral4= Agree5= Strongly Agree

Questions 1 2 3 4 5Do you think on-line buying is a novel,fun way to shop?

Do you think Internet shopping offers better selection than local stores?

Do you think the Internet offers lower prices than local stores?

Do you find the Internet ordering process is hard to understand?

Do you like the delivery of Internet buying?

Do you worry about the credit card


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number being stolen on the Internet?


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12) Please give following answers with tick mark (√) in a particular box.

Questions Yes

No

Did you ever been cheated by the Internet

retailer?

Did the Internet Retailer made any favor to your complain?

Did you ever come to know that someone ischeated by internet retailer?

Do you recommend others for online buying?

Any suggestions in regards to Online Shopping

If your answer is No to the purchase of computer and computer peripherals over

internet please answer the following

13) What is the reason for not Buying online?

Insecurity of credit card transaction on the Internet

Touch feel attribute is missing in online shopping

Threat of privacy violation

Lack of after sales service

Lack of customer service

Retail Inexperience

Creates confusion

Others_____________

14) Will you change your decision to buy online in future?

mba eb project research on onoine buyer behaviour

Documents